11/26/2023 Southern New Hampshire University BUS 206: Business Law Report: Mountain Top View Data Breach When it comes to business, ethical considerations are fundamental in shaping decision- making processes and promoting responsible conduct. Business ethics, which refers to the moral principles, policies, and values that govern how businesses and individuals engage in business activities (Twin, 2023), goes beyond the limitations of the law and involves an extensive range of right and wrong. Unlike business laws, which are enforceable rules of conduct that govern commercial relationships (Kubasek, 2019), ethics involve voluntary adherence to principles prioritizing integrity, fairness, and accountability. In the context of Mountain Top View, a rapidly growing outdoor equipment business founded by Clare Applewood as a sole proprietorship, merging ethical practices and legal obligations becomes critical. This narrative occurs against a data breach that raises questions about the company's ethical and legal responsibilities. Corporate social responsibility is a vital component of ethical business practices, in which companies integrate social and environmental concerns in their business operations and interactions with their stakeholders beyond what is legally required (UNIDO, 2023). As Clare Applewood navigates the repercussions of a cybersecurity incident, assessing the ethical and legal dimensions, the connection of ethics, law, and corporate social responsibility becomes a central outline for guiding decisions and determining the company's future. The recent security breach in Mountain Top View has triggered many ethical and legal concerns. According to IBM, a data breach refers to any security incident where unauthorized
individuals gain access to sensitive or confidential information, business data, or personally identifiable information (PII). Such information could be anything related to a particular individual that might reveal their identity, such as their full name, social security number, or email address. Ethically, as stated on its website, the company is responsible for maintaining its commitment to customer information security. In this case, the company's database containing customers' PII was compromised, affecting first-quarter online customers only. The decision- making process regarding the breach disclosure appears to be informal, which suggests a potential breakdown in internal communication. Legally, there are obligations under data protection laws or consumer protection statutes that demand disclosure of security breaches to affected individuals, as non-compliance could result in legal consequences. Furthermore, the incident came to light when Carlos Rodriguez accidentally discovered it, highlighting the need for a more structured communication strategy. The absence of a clear ethical framework for handling this type of situation within the company is evident, emphasizing the importance of establishing guidelines to navigate ethical dilemmas in the future. To address this issue, the company should develop a comprehensive set of guidelines for ethical decision-making that can be easily understood and applied by all employees. This approach would help to ensure that a unified ethical framework guides the company's operations and that ethical issues are addressed consistently and effectively. Even though Steve rectifies, the breach violates customer privacy and challenges the trust the company has developed with its clientele. The relevant stakeholders include the affected customers and the company: Clare